Teh stupid, it hurts.

[heironymouspasparagus]

Fair Tax does not purport to create a use tax, it purports to create a sales tax. Whether or not an exemption for certain sales is a good idea, you're still advocating for a loophole. Extra irony is involved because a large part of the propaganda in favor of the Fair Tax is based on its lack of loopholes.

FWIW, I don't actually think a sales tax on stock is a good idea. (nor do I think the Fair Tax is a good idea) It gives even more tax advantages to debt over equity, which leads to less stable enterprises and a less stable overall economy.

We have chosen over the last 30+ years to encumber our children and grandchildren with a fiscal catastrophe.  Now, we are making noises about this or that way to tax ourselves is the best way to go about it.  Most of the most audible is the same plaintive bleats we have been hearing for those decades....cut the taxes of the richest amongst us and the economy will make all the poor people rich, too.  And for those years we have almost convinced ourselves to believe it. 

The real solution will be to have economic activity and growth at an overall noticeably slower rate than we have had since WWII....with higher taxes all around.  Hopefully, there will still be growth involved....  And obviously, these two things are the most distasteful of solutions, but Congress hasn't been able to actually fix things when fixing was possible, we are probably stuck with what is likely on the way.

The kids are gonna bear the brunt of it.  They are gonna be the ones that take the big hit of our irrational behaviour.  They are gonna be real pissed off at what has been done to them.  Rightfully so.